BusinessWeek: Mix Jobs, Disney, Apple 'Carefully and in Small Doses'

by , 3:05 PM EST, January 26th, 2006

While Wall Street's reaction to Disney's purchase of Pixar has been mostly positive, BusinessWeek's Arik Hesseldahl warns in his latest Byte of the Apple column that Steve Jobs, Disney and Apple "should be mixed only carefully and in small doses, lest the resulting combination prove volatile."

However, Mr. Hesseldahl acknowledges that "done right, the possibilities are enticing. First, what might the creative geniuses at Pixar do with access to Disney's trove of animation intellectual property? Pixar-made movies, shorts, and TV shows could now star updated 21st century iterations of Mickey Mouse, Donald Duck -- even Clarabelle Cow. New characters will refresh the Disney magic across its many lines of business, from features to TV to theme parks."

"This is the kind of synergy that makes a good deal of sense," he added. "Disney needs Pixar to put more life back in the Mouse House, while Pixar needs Disney to grow into what it can ultimately become."

As for Apple, that company will not only gain in the form of more video content for the iTunes Music Store but also in a better understanding of the digital media distribution world, thanks to Mr. Jobs' seat on Disney's Board of Directors. Mr. Hesseldahl also noted: "Having Apple's top executive and co-founder associated with the world's premier family-entertainment brand can't help but give Apple and its products a family-friendly stamp of approval in certain circles."